A business corporation is a legal entity that has separate legal existence from its shareholders and directors. It is sometimes also referred to as a limited company.
Since it has a separate legal existence from its shareholders and directors, they are generally not personally liable for the debts of the corporation beyond the amount contributed.
Although it is the shareholders which own a corporation, it is the directors who manage the day-to-day operations.
Facts of incorporating:
- Incorporating limits the liability of corporation shareholders. Generally, a shareholder of a corporation is only liable to the extent of his/her investment in the corporation.
- Incorporating promotes continuity of existence. The existence of a corporation is continuing and is not affected by the death or bankruptcy of a shareholder or director.
- Incorporating allows for holding title to real property and entering into contracts.
- There may also be tax advantages to incorporating, but check with your accountant or seek other professional advice to determine what is best for your situation.
- Business Corporations are required to file an annual return. This may be filed online.
Business corporations name reservations and incorporations may be easily completed via our Corporate Registry Application.
You may also choose not to name your corporation and simply used a number to represent your corporation. If this is the case you may proceed to Step 3: Prepare to Register your Business.
Have you decided your business type?
Go to Step 2: Reserve a Name